City of Oconto tax rate higher than original estimate

OCONTO – The 2019 tax rate for city of Oconto property owners came out slightly higher than originally expected under the final budget, approved by the City Council on Nov. 20.

In the proposed budget — tentatively approved Nov. 13 by the Committee of the Whole — the rate was $9.40 per thousand dollars of valuation.

However, between the two meetings, the city received final assessed valuations from the state, said City Administrator Sara Perrizo.

The value of property in the city dropped from an estimated $205.4 to just over $204 million — the estimated value for this year was $201.9 million.

The lower-than-estimated value resulted in the tax rate increasing to $9.46 — up 47 cents over the $8.99 this year — to generate the same amount of total levy.

The total levy is $1.93 million, up from $1.81 million this year. A story last week incorrectly stated the 2019 levy as $1.82 million, but that figure did not include just over $110,000 collected for tax increment districts.

Of the additional $215,000 in taxes being collected in 2019, about $115,000 was related to rising personnel costs.

Wages increases are totaling about $61,500. The city originally set aside $48,000, or 3 percent for pay hikes, but after a closed session on Nov. 1, the council voted to grant additional increases to all but one department head.

Police Chief Mike Rehberg, Fire Chief John Reed and Superintendent of Streets and Utilities Jeremy Wusterbarth all received 7.4 percent increases to $75,000 annually. Park, Recreation and Forestry Director John Bostedt was also increased 7.4 percent to $52,000. Perrizo’s pay was increased 5.3 percent to $83,000. Building Inspector Joe Last’s pay went up 3 percent to $60,410.

The city health insurance premiums increased by 9.75 percent or $590,000. The city covers 90 percent of the cost of premiums for employees, so the increase is about $53,500.

That leaves about $100,000. About half of that, $49,000, was an increase in money budget for capital projects, such as the purchase of equipment, vehicles, city hall maintenance and sidewalk maintenance.

Total expenditures are budgeted at $5.9 million. Of that, nearly 38 percent is for public safety and 18 percent is public works.

The vote on the budget was 4-1, with Kim Bronikowski opposed. Bob LeBreck was not present.

In other matters, the council approved:

A development agreement with Tanya Sushkova to purchase two lots on William Bake Circle for $14,000. She plans to construct duplexes on the lots, which had long been owned by the city.

Amending an ordinance to not allow ATVs operated on city streets to use chains or studded tires.

Purchasing 1,000 commemorative coins to mark Oconto’s sesquicentennial next year for $6,900. The coins will be sold at a premium to cover the cost.

Revising the ordinance that bans construction of cell phone towers in the city to allow them in an area north of Evergreen Road and west of Cook Avenue. The change came after discussions with Cellcom and Wireless Planning LLC, which had sought last year to put a tower on Scherer Avenue, but was turned down by the city. After recent meetings, the companies addressed city concerns about visibility, Perrizo said.

Extending an agreement with Troy Fonder over the renovation of 231 Pecor St., which was heavily damaged in a March 2017 fire. The work was to be finished by the end of 2019 but is now to be completed by the end of 2020.